[YouTube-API] YouTube IFRAMES Broken on iPad/iPhone

I've been seeing the same problem now with the YouTube HTML5/IFRAME
embed code. Just using the standard YouTube embed code, i.e.:

<iframe title="YouTube video player" width="640" height="390"
src="http://www.youtube.com/embed/KR2Esy83MQ0" frameborder="0"
allowfullscreen></iframe>

The IFRAME is highly distorted on iPad (about 2x normal height), AND
when you click play on the video you get the following message. "You
need to upgrade your Adobe Flash Player to watch this video"

FWIW, it's not a problem with other similar players. Here's a Vimeo
sample that works fine:

<iframe src="http://player.vimeo.com/video/20718237?
title=0&amp;byline=0&amp;portrait=0&amp;color=ffffff" width="640"
height="360" frameborder="0"></iframe>

Thought it might be an iOS 4.3 issue, but tested on my iPhone with iOS
4.2.1 and the same thing happens. This definitely used to work.

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